MEDIBANK'S management is to blame for its “failure to save for a rainy day”, not its customers seeking to use their health insurance to access the best and latest medical devices, Medical Technology Association of Australia Ian Burgess said today.

Mr Burgess said Medibank’s attempts today to blame medical device usage for its alleged profit downturn flies in the face of APRA data released Tuesday, showing insurer net profit after tax (NPAT) was up 21 percent in the December 2019 Quarter from $1.19 billion to $1.44 billion.

Medibank also failed to declare today the upwards of $400 million in direct medical device savings Health Minister Greg Hunt had already delivered private health insurers since 2017.

“It’s comments like these from Medibank today that are destroying consumer and investor confidence in their own products and performance, as well as the broader sector. No wonder they’re in a self-proclaimed ‘death spiral’,” Mr Burgess said.

“Private health insurers haven’t paid one extra cent for medical devices over the past two premium years, despite raising premiums twice-inflation and banking nearly $1 billion in profits between the big corporate health funds, including Medibank.

“It’s not the role of medical devices to keep propping up Medibank’s managerial inaction and incompetence, while they continue to feather their nest with taxpayer handouts and corporate bailouts,” Mr Burgess said.

“Medibank’s management seems to routinely fail to understand that timely access to the best and latest medical devices is exactly why their customers put up with years of premium pain. Reducing access will only reduce customers. 

“Medibank’s customers have clearly had enough of their premiums increasing faster than house prices with no matching increase in benefits and are finally cashing in their chips before they’re forced out altogether.

“If Medibank can still afford to pay a dividend to its shareholders, it can afford to drop its prices for its customers.”

Mr Burgess also questioned why there was no mention in Medibank’s statement today of the benefits that were about to flow through from recent price cuts on February 1, 2020 to over 7000 medical technologies like pacemakers, insulin pumps, eye lenses, hip and knee replacements and more.

“Medical device manufactures have cut their prices upwards of 40 percent in the past three years as a result of the direct lobbying of insurers like Medibank to help reduce premiums and increase access,” Mr Burgess said.

“It’s a safe bet that the first private health insurer whose premium increases go below zero will increase their market share overnight.

“The number of Australians dropping out of private health insurance is quickly snowballing into an avalanche and it’s time for government to step in and save private health from itself.”

Recent research from YouGov-Galaxy show over 2 million Australians dumped their private health insurance in the last five years.

Yesterday’s APRA figures confirmed this trend was continuing, with only 44 percent of the country now covered.

About MTAA

The Medical Technology Association of Australia (MTAA) is the national association representing companies in the medical technology industry. MTAA aims to ensure the benefits of modern, innovative and reliable medical technology are delivered effectively to provide better health outcomes to the Australian community. MTAA represents manufacturers and suppliers of medical technology used in the diagnosis, prevention, treatment and management of disease and disability. The range of medical technology is diverse with products ranging from familiar items such as syringes and wound dressings, through to high-technology implanted devices such as pacemakers, defibrillators, hip and other orthopaedic implants. Products also include hospital and diagnostic imaging equipment such as ultrasounds and magnetic resonance imaging machines. MTAA members distribute the majority of the non-pharmaceutical products used in the diagnosis and treatment of disease and disability in Australia. 

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THE GSMA Board whas expressed its sadness at the unavoidable cancellation of MWC Barcelona 2020.

"This decision is painful, but we believe the correct one. Health and safety are the priorities of all of the GSMA Board and Mobile Network Operators. Our sincere thoughts are with those affected in China and around the world in these trying times," the statement read.

"Our vision at the GSMA is to unlock the power of connectivity so that people, industry and society thrive. MWC is crucial to convene and advance the industry and mobile ecosystem. The mobile industry is committed to harnessing the power of mobile technology and connectivity to transform the lives of billions of people around the world, and we are committed to a great MWC Barcelona 2021.

"The Board thanks GSMA management and the Host City Parties for their hard work throughout this challenging and unprecedented situation. We look forward to working together again for an even better MWC Barcelona 2021.

"The GSMA Board is comprised of 25 of the world’s leading mobile operator groups. www.gsma.com/aboutus/leadership/gsma-board

Further updates from the GSMA, are on our website and can be found on www.mwcbarcelona.com.

About the GSMA

The GSMA represents the interests of mobile operators worldwide, uniting more than 750 operators and nearly 400 companies in the broader mobile ecosystem, including handset and device makers, software companies, equipment providers and internet companies, as well as organisations in adjacent industry sectors. The GSMA also produces the industry-leading MWC events held annually in Barcelona, Shanghai and Los Angeles, as well as the Mobile 360 Series of regional conferences.For more information, visit the GSMA corporate website at www.gsma.com. Follow the GSMA on Twitter: @GSMA.

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MY BUSINESS HEALTH, a web portal designed to provide holistic support to small business owners, now features a dedicated section for those impacted by natural disasters.

The Australian Small Business and Family Enterprise Ombudsman Kate Carnell has been struck by the devastation of the recent bushfires, saying small businesses are dealing with extraordinary challenges right now.

“Small businesses in bushfire-hit areas are under enormous pressure and the difficult reality is that many will be in survival-mode for months to come,” Ms Carnell said.

“My Business Health offers simple and practical information to small business owners to help them get back on their feet.

“This includes the latest information on grants and loans being administered by state and territory governments and assistance with employer responsibilities, finances, insurance claims and tax.

“While some of these small and family business owners will be consumed with the recovery of their business – they may not be aware of the psychological distress they have experienced," Ms Carnell said.

“My Business Health was developed in consultation with leading mental health organisations including Beyond Blue and EveryMind. Our web portal now features links to Beyond Blue resources that deal with bushfire-related trauma specifically.

“Mental health is a serious issue for Australia’s small business community with the Productivity Commission finding the cost of absenteeism and presenteeism to the sector is over $17 billion per year.

“That figure is likely to be amplified in the wake of this bushfire season, so it’s really important that small business owners prioritise their wellbeing. Visiting My Business Health is an excellent starting point.”

www.asbfeo.gov.au

https://www.asbfeo.gov.au/my-business-health/home

www.

THE AUSTRALIAN Parliament’s Joint Committee on Foreign Affairs, Defence and Trade has launched a new inquiry into strengthening Australia’s relationships with Pacific region countries to meet current and emerging opportunities and challenges facing the region.

Chair of the JSCFADT, Senator David Fawcett noted that the committee was considering Australia’s engagement in the Pacific through the lens of Defence, Trade and Human Rights, in addition to this inquiry. 

Chair of the Committee’s Foreign Affairs and Aid Sub-Committee, Dave Sharma MPsaid the inquiry will seek to inform and shape the next chapter of Australia’s strengthened engagement with its Pacific neighbours.

“Australia’s relations with our Pacific neighbours are of fundamental importance and vital interest to Australia,” Mr Sharma said.

“This inquiry will provide the committee with an opportunity to assess the effectiveness of initiatives undertaken to support the ‘Step-Up’, and explore mechanisms to support increased engagement with our neighbours, including through greater involvement of non-government and community organisations.”

The committee will be seeking ideas on how Australia can build on the momentum of the Pacific Step-Up to increase engagement and linkages with Pacific Island neighbours, in support of our collective interests.

The committee welcomes submissions from any person or organisation with an interest in these issues. It especially seeks views from within Pacific island countries, those who have participated in labour mobility schemes, and those who have made Australia their permanent home, yet maintain current connections with their islands of origin.

The views of those from non-Pacific island countries with development partnerships and interests in the region are also welcomed.

Submissions addressing all or some of the terms of reference should be lodged by Friday, April 3, 2020; overseas submissions due by Friday, April 17, 2020.

Further details about the inquiry, including terms of reference, contributing a submission and, when available, details of public hearings, can be obtained from the Committee’s website.

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LEADERS  from five international tax organisations have come together in Sydney this week to review the J5’s progress in their fight against transnational tax crime and set priorities for the year ahead.

The Joint Chiefs of Global Tax Enforcement (J5) was formed in 2018 after a call to arms from the OECD Taskforce on Tax Crime and has been working together to gather information, share intelligence and conduct coordinated operations, making significant progress in each country’s fight against transnational tax crime.

The J5 includes the Australian Taxation Office (ATO), Her Majesty’s Revenue and Customs (HMRC) from the UK, Internal Revenue Service (IRS) Criminal Investigations from the US, the Canadian Revenue Agency (CRA) and the Dutch Fiscal Information and Investigation Service (FIOD).

Together, each country is better equipped in the fight against those who commit, promote and enable international tax crimes and money laundering.

Last month, the group executed a globally coordinated day of action against an international financial institution suspected of facilitating money laundering and tax evasion. Evidence, intelligence and information collection activities such as search warrants, interviews and subpoenas were undertaken in each country and significant information was obtained and shared as a result.

Australian Taxation Office (ATO) deputy commissioner and Australia’s J5 chief, Will Day said the investigation into this financial institution and its clients is just one example of the work the ATO has been doing with the J5 to investigate Australians who are using offshore arrangements to evade their tax obligations.

“Tackling the abuse of correspondent banking arrangements was at the heart of our day of action last month, and we are looking beyond just a single financial institution in Central America," Mr Day said.

"We have fears there are many hundreds of Australians caught up in these arrangements, and working with our J5 partner agencies we are continuing to tighten the net on those who are engaging in and enabling transnational tax crime.

“The effectiveness and success of the J5 is underpinned by a strong understanding of the common risks and threats we face. By working together to identify and understand these issues, we are able to shape and strengthen our operational, tactical and strategic response to focus on those areas that cause the most impact. We’re tackling tax crime together” Mr Day said.

The group have been sharing expertise to identify the most common and impactful mechanisms, enablers and structures that are being exploited to commit transnational tax crime and will be focusing on those criminals who present the greatest threat to the J5 countries in 2020.

Simon York, chief and director of Her Majesty’s Revenue and Customs (HMRC) Fraud Investigation Service said the introduction of automatic exchange of financial information between countries, registers of beneficial ownership, information from worldwide data leaks and improved tax enforcement had made hiding wealth offshore increasingly difficult.

“What this work shows is that tax evaders and organised criminals are resorting to ever more complex and obscure methods to hide their illicit gains and wealth," Mr York said.

"To stay one step ahead we have brought together world leading analysts to unpick their complex trails. Being a partner in the J5 means that we have five times the analytical capability, five times the data and five times the insight at our disposal. Harnessing this, we are now shining a light on evaders across the world, targeting our next wave of enforcement activity and ensuring no big time tax criminal remains beyond our collective reach.

“Seeing the transformation of the J5 from a group of countries with similar challenges and similar goals to a fully integrated organisation that is seeing operational successes is very exciting and should be a model for international collaboration at all levels,” said Don Fort, chief of IRS Criminal Investigation.

“The information shared, efficiencies gained, and investigations started based on the collaboration within this group have moved the needle by years in terms of results and successes. I expect 2020 will be a game changer for the J5 and criminals will not know what hit them,” Mr Fort said.

Hans van der Vlist, chief and general director Fiscal Information and Investigation Service (FIOD), the Netherlands said, “The J5 challenge in the United States at the end of 2019 was important in our fight against crypto criminality. The operational cooperation within the J5 is beginning to pay off and we see that the cooperation also has an impact on local investigations. For instance, last Monday the FIOD had action days in the Netherlands in two crypto investigations."

Canada Revenue Agency (CRA) chief Eric Ferron said, “To attack sophisticated criminal tax evasion, we need coordinated action and to be sharing best practices.

"This is why we value our partnership with the J5; it has allowed us to broaden our reach, better equipping all member countries to combat tax crimes. We look forward to continued collaboration and providing results as they become available.”

More information about J5 is available at ato.gov.au/j5

GAP State High School students will be giving their new three-story STEM and robotics building a workout when they took part, for the first time, in a Queensland Minerals and Energy Academy (QMEA) event today.

The school is one of the latest to join the QMEA, which includes 75 schools throughout the state. 

 “We are really looking forward to being part of the Academy, which will complement the plans we have for our students and our new STEM facility,“ said principal Anne McLauchlan. 

“STEM education is so important as it’s a gateway to so many careers, and we are looking forward to the interaction with people from the resources sector who will bring real-world context to their learning,” she said. 

Innovation Minister and Member for Cooper, Kate Jones said this initiative could help to open up doors for students who want to work in STEM-related industries.

“Science, technology, maths and engineering – these subjects are crucial to the jobs of the future,” Ms Jones said.

“I’m so proud to have been the Education Minister when we rolled out the digital curriculum – including coding and robotics – to all state schools. IT, mining, agriculture and manufacturing are important growth industries here in Queensland.

“It’s important that we’re teaching our kids the skills they need to work in these areas.” 

In the activity, the year 10 students will explore the life cycle of a mine from exploration to mineral processing and mine rehabilitation. 

They’ll also have the opportunity to talk to resource sector people about their careers.  Students from Everton Park State High School will also take part.  

The QMEA is a partnership between the Queensland Resources Council (QRC) and the Queensland Government under its Gateway to Industry Schools program. 

QRC is the peak representative body for Queensland ‘s resource sector. The Queensland resources sector provides one in every five dollars in the Queensland economy, sustains one in seven Queensland jobs, supports more than 14,400 businesses and almost 1400 community organisations across the state, all from 0.1 percent of Queensland’s land mass.  

www.arc.org.au

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THE Joint Chiefs of Global Tax Enforcement (J5) will be holding a press conference in Sydney, Australia, tomorrow. 

The five chiefs will give an update on their progress in their fight against transnational tax crime.

The J5 was formed in 2018 and has been working together to gather information, share intelligence and conduct coordinated operations, making significant progress in each country’s fight against transnational tax crime.

Spokespeople are: 
Will Day, Australian Taxation Office, Deputy Commissioner.
Eric Ferron, Canada Revenue Agency, Director General.
Don Fort, Internal Revenue Service, Chief.
Hans van der Vlist, Fiscal Information and Investigation Service, General Director.
Simon York, HM Revenue & Customs, Director.

www.ato.gov.au

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ST GEORGE is calling for nominations from entrepreneurs and small-medium enterprises (SMEs) across NSW, Queensland and the ACT to enter its Kick Start program to win a share of a $100,000 grant to help start their business or bring an idea for their existing business to life.

The St George Kick Start program is a pitch competition where 12 finalists battle it out on stage at the TEDxSydney event on May 22 for a chance to win one of two $40,000 grants and two $10,000 runner-up grants. 

Anthony Mathews, national Head of SME Banking for S George said, “Growing a small business or getting your business idea off the ground is no easy feat, particularly when it comes to funding.  

“Even if you have that moment of inspiration, SMEs and entrepreneurs can find themselves unable to bring their ideas to life without access to funds. Through the St George Kick Start program, we hope we can help provide a platform that gives them the chance to receive funding and turn their dreams into a reality.”

Jo Palmer, founder of Pointer Remote Roles – a remote workforce specialist company – won the ‘fast pitch’ Kick Start program in 2019 and used the business grant to hire her first full-time employee.

“Winning the $40,000 grant allowed me to scale my business, which I’d never thought was possible," Ms Palmer said. "Thanks to the Kick Start program we’ve been able to help more companies connect with the talent they need in their business, remotely.

"An increase in jobs has meant talented professionals who live in rural Australia have been able to access the same jobs as those in the city. This has created incredible opportunities for those in rural areas impacted by ongoing drought and the recent bushfires,” Ms Palmer said. 

How to enter Kick Start 2020 

Applications are now open to businesses across NSW, Qld and ACT and will close at 11.59pm Australian Eastern Standard Time (ADST) on Monday 23 March 2020.

Businesses can enter in one of two categories:

• Category 1. A New Business Idea. Business that have recently launched or are about to launch. For those not yet trading, solid plans must be in place.
• Category 2. An Idea to Grow an Existing Business. For businesses that have been operating and trading for at least 18 months and want to diversify or grow.

For more information on the St George Kick Start program and how to apply, visit https://www.stgeorge.com.au/business/kickstart 

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